Any expert would tell you to sit down and analysis your current spending habit before considering any money saving ideas and tips. You should do a budget of all your income and expenses and see how much money you have left at the end of the month. Armed with your spending information you should then consider the money saving tips below. Keep a record of how much you should be saving next month and compare the results. It is important that you continue this exercise annually.
In the current market it is difficult to know what to do with your savings so I suggest you consider looking at the last money saving idea for a tip that will save you thousands of pounds in the future.

Money Saving Ideas

Switch to Freeview TV

Switch to Freeview digital TV and save up to £200 a year. You will need to buy a Digi-box receiver for around £50. Then you will receive more than 40 free digital TV Channels for free and there’s no monthly subscription to be paid.

Switching your Gas and Electricity Providers

Consider switching your fuel providers it could save you £100′s. As a nation we don’t like changing our utility providers and as a result our suppliers don’t offer us any better deals. They use their cheaper deals to entice new customers. Use a Comparison site to find the best deals around for your Gas and Electricity.

Cheaper Telephone and Broadband bills

Shop around for cheaper telephone and broadband suppliers. Many providers offer cheaper dual packages and low-cost dial up services as well as cheaper line rental. Use a Comparison site to find the best deals around today.

Reduce your Mobile Phone costs

Consider switching your mobile from a monthly contract to a pay-as-you-go mobilescheme if you don’t use your mobile a lot. If your family all have a mobile phone then you should consider a package with all the phones included.  Make sure that you all share the number of call minutes and the texts each month. There are mobile phone deals around that will provide you with new phones within the package and they will allow you to alter the number of texts and call minutes each month.

Shop around for Better value Insurance Cover

Shop around for cheaper Car Insurance, Building & Contents Insurance and Life Insurance.  Remember everything that glitters is not golden. When looking to rebroke or change Insurance providers you need to compare like with like and not on price alone. Always look for the same cover and definitions for each Insurance policy or a better policy for a cheaper price when looking to change providers.
The cost of life cover only Insurance has reduced due to the fact that we are all living longer and the unthinkable has happened Life Insurance policies have become cheaper.
If you have any Critical Illness Insurance cover then tread very carefully and use a mortgage broker to rearrange a cheaper policy for you. The reason for this is the Insurance companies have changed many of their Insurance cover definitions and the number of conditions that they will cover. For peace of mind you should use a mortgage broker for protection. Should they change a good policy for an inferior policy then you could claim compensation for negligence.

Food Shopping

1. Always make a list and try not to deviate from your shopping list.
2. Don’t take your children or husband shopping as you will probably find it really hard to say no when they ask for something and they will only increase your shopping bill.
3. Have your supermarket shopping delivered, it’s a great way of ordering what you need to maintain your weekly budget.
4. Try and cook all meals from fresh, they are healthier than ready made meals and more nutritious. Invest in a cook book if you lack inspiration or knowledge.
5. Look for a Farm shop with a butchery attached; our local Farm shop sells half a Lamb for £20 and half a Pig for £30 they are already frozen ready for the freezer. What a bargain!
6. Consider using the supermarkets own-brand products as they are often the same or similar as branded products without the brand name and price tag.
7. When last did you shop at your local market?  The food is generally cheaper and fresher from your local market as they have lower overheads and can therefore pass on the savings to you.
8. Use the discount supermarkets like Asda, Aldi and Lidl. There are big savings to be made here. Don’t worry about shopping here; the food is quality and the car park is full of expensive cars, which suggests that everybody is shopping here – rich or poor.
9. Always ask yourself whether or not you really need a product or service and always consider alternatives. Don’t be enticed to buy the special offers like, buy-one-get-one-free promotions or the 30% off discount offer. It’s not a bargain if you don’t need it in the first place. Remember a bargain or an offer is either priced to get rid of stock quickly for a reason or it is priced into the product to start with.

Save money by Buying in the Sales

Don’t be enticed to buy the special offers

Clothes we all agree are cheaper if bought during shop sales. It’s possible to save a hundred pounds or more on a designer evening dress or a suit or any other type of clothing. Sometimes we just need to be patient and not be impulsive when deciding to buy items. Slowly, slowly catch a Bargain.
Have a look in the charity shops. You will be amazed at the designer clothes and the quality of some of the items they have for sale.
Always check on e-Bay for anything that you are considering buying, people all over the country sell clothes that are new or nearly new and have either never been worn or are nearly new. There are some real bargains to be had if you are willing to spend the time searching.
Recently there have been some swap sites being launched on the internet to swap designer clothes for cash or other garments.

Consider Shopping Online

The internet has grown rapidly over the past five years and you can buy just about anything while sat at home in a comfy chair. You can use the comparison websites to search out the cheapest price for the item that you are looking for and you can compare one brand with another without leaving your chair.

Are you claiming all your allowance

Many of us don’t know what benefits and tax credits we and our families are entitled to when it comes to claiming  for Pension Credits, Child Benefit, Child tax Credits, Working Tax credits, etc. It is reckoned that around £8 billion a year is not claimed by people who are entitled to claim benefits.

Prepaid Credit Cards

I love the idea of prepaid credit cards as it gives you all the benefits without the credit card balance and you cannot overspend on it. To use a prepaid credit card you need to transfer an amount of money onto the card first before you go shopping. I guarantee that you will only spend what you can afford. Prepaid Credit cards are truly a money saving product that everybody should have.

Quit Smoking

If you are smoking 20 cigarettes a day then you will be spending around £2,117 a year or more. This is a mind blowing amount of money and it will just be going up in smoke.
Now look at the benefits to your health and the health of your children, family and friends. We found when my wife and I quit  smoking that the house smelt cleaner and fresher. Our home does not need painting inside as often anymore, which is now saving us a small fortune as we don’t need to paint as often.
Just think if you packed in the weed, you and your family could enjoy a foreign annual holiday each year. You could choose to overpay your mortgage and finish paying it earlier. Alternatively, you could choose to save the money over the next twenty five years and save £52,925 plus any interest. Wow!  What are you waiting for?

One persons junk is another’s pride and joy

Consider selling anything that you haven’t used in the last two or three years. This is a pretty good indicator of whether or not you need it or not and if you have not used it the chances are that you don not need it. Sell it for some hard cash on e-bay.

Annual Holidays

This year is an exception compared with previous years when we were all going to America and other exotic holiday destinations. Now we find that our money in America won’t go as far as it did last year due to the exchange rate. Our European holidays have also just become more expensive due to the exchange rate. America is now 25% more expensive and the Euro is nearly on a parity with the Pound. So why not have a holiday in the UK and support our economy. At least your money will be worth the same and you will save on the cost of holiday travel. You would be surprised at how beautiful our island is.

Individual Savings Account (Isa)

If you are fortunate to have any savings then your need to search out the best accounts. You can also chose to save up to £850 per month split between the two types of accounts.
An Isa provides Tax-free savings and a saver can invest up to £10,200 into an Isa each tax year irrespective of whether you are a low or high rate taxpayer.
Under the new provision announced by The Chancellor Alistair Darling in the last budget you can be put £5,100 into a cash Isa or a saving account and £5,100 can be invested in stocks and shares.
You can withdraw your money at anytime as long as you have not locked them into a fixed rate deal, once the money is withdrawn you cannot return it and if you withdraw during the year you will lose the tax-free incentive and the money will become taxable in the year you with draw it.
If you are a lower or high rate taxpayer then you will not pay any tax on the money invested in an Isa each year. Under normal circumstances you would pay 40% on the interest received from other saving schemes. If you are a lower rate taxpayer then you would pay 20% on the interest received from other saving schemes.

Your Mortgage

At present your only hope if you have any savings is a maximum return of 1.5% per year – this is appalling and outrageous! So why not over pay your mortgage which will be on an interest rate of 4% to 7% depending on your mortgage deal.  By overpaying your current mortgage will save you many thousands of pounds in interest and you can choose to reduce the term of your mortgage as well. Imagine paying your mortgage off two or three years early. If you paid £500 per month and you were to overpay your mortgage and you paid it off three years earlier you will save £18,000 plus the interest you would not be paying in the last three years. This saving could ultimately be worth around £21,000.
Your thoughts, experiences and comments are always welcome. You can join the discussion below by leaving your Money saving Ideas and tips for other readers.

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Tags: Better value, Child Tax Credits, fifteen great money, fifteen great money saving ideas and tips to survive this recession, Individual Savings Account, money saving ideas, Mortgage, Prepaid Credit Cards, save money, Working Tax Credits

This entry was posted on May 15, 2009 at 11:24 am and is filed under Advice and Information, Consumer Help, Consumer Solutions, Mortgage Market, Recession, Savings. You can follow any responses to this entry through the RSS 2.0 feed.